Digital transactions in the petroleum sector has recorded a major leap in the post demonetisation period, across the country, said Union petroleum and natural gas minister Dharmendra Pradhan.TNN | December 31, 2016, 11:29 IST

“Digital transaction was only three to four percent in Kerala before the commencement of the demonetisation of high value currency notes by the Modi government. Now, statistics show that cashless transactions has risen to 20% of the total transactions in this state. Whereas nationally, the percentage of cashless transactions for the purchase of petroleum products has increased from the average 10% in the past to 25%,” the minister told reporters here after inaugurating the promotional campaign of alternative payment modes organised by BPCL on Friday.

The minister said the overall sales of petroleum product too have recorded an impressive growth, despite the note ban. “For the past couple of years, the annual growth rate of petroleum products sector was 8. It has increased to 11 % this year,” he said.

The Union minister said only those with unaccounted money were expressing discomfort in the note ban.

He wanted oil companies and retail outlets to organize promotional programmes to encourage people to shed the habit of filling fuel by cash.

“The government has announced 0.75 per cent cash back offer to those who fill fuel by way of credit/debit card payments. This would drain around Rs 3000 crore from the purse of oil companies. But considering the volume of money spent by for the cash transactions, the incentive given for cashless transactions is affordable,” he said.

The minister said, of the 55,000 fuel stations across the country, over 40,000 have been equipped with digital payment facilities and the rest would soon be equipped with point of sale machines.

The minister said all daily wage labourers attached to Cochin refinery would be getting their wages in their bank accounts by January 26.